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Engineering Commons

Open Access. Powered by Scholars. Published by Universities.®

2019

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Embry-Riddle Aeronautical University

Management and Operations

Cost Structure

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Full-Text Articles in Engineering

A Study On Spare Aircraft In Brazilian Airlines, Clarissa Pinheiro Pereira, Eduardo Sakashita, Eliudes Del Grande, Guilherme Bevilacqua Nov 2019

A Study On Spare Aircraft In Brazilian Airlines, Clarissa Pinheiro Pereira, Eduardo Sakashita, Eliudes Del Grande, Guilherme Bevilacqua

Graduate Student Works

All around the globe, the airlines struggle to sustain profitability. They are deeply affected by the region’s economy. It goes from the fuel price and exchange rate to the level of employment and average salary. That makes it imperative to control the cost, and also to balance very well the cost and level of service. Aircraft utilization is one KPI that measures productivity. Once the airline has a high aircraft utilization, it means that the resource has been productive, hence more cost-efficient.

On the other hand, flight cancelations and delays result in costs and passengers’ dissatisfaction. In Brazil, there is …